Off the Cliff

More on the precipitous fall of the USDollar. Here the Economist weighs in. The rapidity of the fall could not happen at a worse time with the Bush ecomnomic team in transition. It clearly must be Bush's idea to allow the dollar to reach these levels but it is difficult to see to what end. The Chinese Yuan remains pegged to the dollar. Imagine the chaos if that peg were removed and the yuan were allowed float to levels that would grossly affect Chinese exports to the United States. Is anybody watching in D.C.? Economist.com